by The lamination adhesives for flexible packaging market primarily comprises water-based and solvent-based adhesives used to bind polyethylene films, paper, aluminum foil, and cellophane to printed substrates. Lamination adhesives offer excellent performance in terms of adhesion quality, durability, and reliability over the shelf life of flexible packaging products. They extend the shelf life of products by acting as barriers against moisture, oxygen, and grease while improving handling efficiency and aesthetic appeal.
The Global Lamination Adhesives For Flexible Packaging Market is estimated to be valued at US$ 2.88 Bn in 2024 and is expected to exhibit a CAGR of 12.% over the forecast period 2024 to 2031.
Key Takeaways
Key players operating in the lamination adhesives for flexible packaging are Leica Biosystems Nussloch GmbH, Olympus Corporation, F. Hoffmann-La Roche Ltd., Merck KGaA, GE Healthcare, Mikroscan Technologies, Inc., Koninklijke Philips N.V., Sectra AB, Propath UK Limited, Inspirata, Inc., Hamamatsu Photonics, Inc., OracleBio Limited, MD Biosciences, Aiforia, Xybion Digital Inc., Nucleai, Inc. The market is expected to witness significant opportunities due to growing demand from the food and beverage industry. Furthermore, advancements in water-based adhesive formulations have improved sustainability and are expected to drive market growth over the forecast period.
Market Drivers
Stringent government regulations restricting the use of solvent-based adhesives due to VOC emissions have stimulated R&D towards developing sustainable and environment-friendly water-based adhesives. These eco-friendly adhesives exhibit comparable performance to solvent-based systems and enhanced design flexibility. Furthermore, the growing demand for packaged and frozen foods has fueled the need for high-barrier flexible laminates, thereby driving demand for lamination adhesives.
Current challenges in the Lamination Adhesives For Flexible Packaging Market
The lamination adhesives for flexible packaging market is facing numerous challenges currently which are hampering its growth potential. One of the major challenges is rising raw material prices. The key raw materials used in lamination adhesives like solvents, resins, and fillers have witnessed a substantial price rise over the past few years. Fluctuations in crude oil prices directly impact the prices of these raw materials. Secondly, stringent environmental regulations around the world concerning VOC emissions are restricting the use of solvent-based adhesives. This is prompting adhesive manufacturers to develop bio-based or water-based green product varieties which is increasing production costs. Similarly, high R&D investments are required to engineer adhesives suitable for different types of films and packaging applications. The market also lacks standardization with respect to material composition, quality, and testing methods. This variability affects product reliability and performance consistency.
SWOT Analysis
Strength: The market has gained strong traction from food & beverage packaging end use which demands high-quality lamination. Several new product launches catering to specific applications have increased portfolio choices.
Weakness: Developing regions lack stringent quality and safety norms for packaging materials compared to developed nations. This poses health risks. High capital requirements are a barrier for small players.
Opportunity: Bio-based or water-based adhesive varieties compatible with circular economy principles present new revenue avenues. Strong demand from e-commerce sectors of developing economies offers scope for market expansion.
Threats: Stagnant birth rates and aging population in major regions imply declining demand growth potential over long term. Patents of key players will expire, allowing competition from low-cost substitutes.
Geographical regions with high market concentration
North America currently dominates the lamination adhesives market for flexible packaging in terms of value, holding around 30% revenue share. This is attributed to well-established packaging industries and stringent legislative push for sustainable products in the US and Canada. Another region with high market concentration is Europe which accounts for approximately 25% share. Both these developed economies have recognized the potential of flexi-pack laminated structures for food, pharmaceuticals and consumer goods.
Fastest growing region
The Asia Pacific region excluding Japan is projected to witness the fastest growth in the lamination adhesives market for flexible packaging during the forecast period. This growth will be fueled by expanding urban consumer bases, rising disposable incomes, and increased domestic consumption of packaged food in densely populated China and India. Also, foreign investments are helping build packaging converter infrastructure to serve both local and overseas FMCG brands. All these factors are augmenting the uptake of advanced flexible laminations in Asia Pacific.
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1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
